Exxon to develop Bintang field off Malaysia in South China Sea

March 26, 2002
ExxonMobil Corp. recently revealed development plans for Bintang natural gas field, which lies 137 miles off Terengganu, Malaysia, in the South China Sea. ExxonMobil said development would cost a total $150 million.


By OGJ editors
HOUSTON, Mar. 25 -- ExxonMobil Corp. recently revealed development plans for Bintang natural gas field, which lies 137 miles off Terengganu, Malaysia, in the South China Sea. ExxonMobil said development would cost a total $150 million.

Through a previously signed gas production-sharing contract, ExxonMobil unit ExxonMobil Exploration & Production Malaysia Inc. and project partner Petronas Carigali Sdn. Bhd. will develop 1 tcf of natural gas from the field, ExxonMobil said. Peak production from the field is expected to reach 355 MMcfd.

Natural gas production from Bintang field will be transported via pipeline to Kertih and the Peninsular Malaysian gas pipeline grid to be used in the domestic market there, ExxonMobil said. A majority of the gas will be used for power generation. Currently in Malaysia, more than 70% of electric power is natural gas-fired, ExxonMobil said.

"Similar to several of our other South China Sea satellite projects, the Bintang development will use a minimum-facility design concept to shorten construction and installation times and improve operating effiency, thus allowing earlier and more cost-effective development of the field," said Terry Koonce, president of ExxonMobil Production Co.

ExxonMobil plans to install two remotely operated platforms, Bintang A and B, which are slated for installation in the third quarter. These platforms, which will be designed and built in Malaysia, will have the capacity for 10 wells, ExxonMobil said. Gas from the field will be transported via a 7 mile, 18-in. newly built pipeline to Lawit A platform for processing, then to shore.

Drilling is expected to start in the fourth quarter, with gas production start-up following shortly afterward, ExxonMobil said.